Energy markets

Overview

Energy markets help match electricity supply with demand, plan for future needs and make sure power is delivered reliably and at the lowest reasonable cost. 

A Regional Transmission Organization (RTO) is one type of energy market. RTOs bring utilities together to manage the electric grid across a large area, often covering multiple states. They help balance electricity in real time and plan transmission lines so power can move where it is needed. Joining an RTO is an important step in Platte River’s progress toward a noncarbon energy future. 

Being an active participant in an energy market helps us: 

  • Integrate renewables
  • Maintain reliability
  • Manage costs 
Beginning April 1, 2026, Platte River will participate in the day-ahead and real-time Southwest Power Pool Regional Transmission Organization (SPP RTO) markets, as well as gain access to additional regional services.

Platte River’s history in energy markets

Platte River’s journey to joining a full regional market began even
before the board passed the Resource Diversification Policy in 2018.

What joining the SPP RTO means for Platte River’s owner communities ​

Joining the SPP RTO helps advance Platte River’s progress toward a noncarbon energy future by enabling:

  1. Access to more renewable energy: Wind and solar energy vary throughout the day and in different regions. When Platte River has more renewable energy than we need, we can sell it to other utilities who are short on energy. When renewables are abundant elsewhere in the region, we can buy energy at low cost and minimize use of dispatchable resources.
  2. More flexibility and shared reserves: A large regional market gives utilities access to more resources during periods of high energy demand or extreme weather events. Sharing resources supports reliability while reducing the need for Platte River to build additional resources only for extreme events.
  3. Least-cost dispatch: As part of the SPP RTO, the market solves for the lowest cost, best fit solution to serve customers.
  4. Regional transmission planning and shared upgrade costs: Sharing costs across all market participants helps to economically integrate new renewable resources across the region. 
Aerial shot of solar field
Back view of a man sitting at a desk looking at monitors

Understanding RTOs: how they support reliability

RTOs help operate the electric grid across many states. RTOs plan days in advance and monitor electricity use in real time, schedule which power plants and renewable resources should run and make sure there is enough energy available to meet customer demand. This coordination helps prevent outages and keeps energy costs more stable.

Put simply, RTOs help utilities work together more efficiently, improving reliability and lowering costs for customers.

What an RTO does:

  • Balances supply and demand of electricity across multiple states
  • Schedules resources to run in the lowest-cost, most efficient way
  • Manages transmission and real-time power flows
  • Operates a competitive wholesale energy market
  • Coordinates emergencies and extreme weather responses

By joining the SPP RTO, Platte River gains access to these regional tools – supporting our three foundational pillars of environmental responsibility, financial sustainability and reliability.

Founded in 1941, SPP is a nonprofit supported by member utilities and organizations with a mission to deliver economic energy markets and reliable grid operations.

FAQs

SPP is a nonprofit regional transmission organization (RTO) that helps utilities across many states share electricity, coordinate reliability and operate wholesale energy markets. Platte River is joining SPP’s RTO on April 1, 2026, to gain access to day‑ahead and real‑time markets, shared regional resources and coordinated transmission planning – all of which support reliability, affordability and renewable energy growth.

SPP’s WEIS market handles real‑time balancing of energy every five minutes.
The RTO adds:

  • A day‑ahead market
  • Standardized resource adequacy requirements
  • Unit commitment
  • Regional transmission planning
  • More robust reliability coordination
  • Sharing of new transmission upgrade costs

This leads to better planning, more efficient energy use and broader access to resources across the entire footprint.

Yes. Participating in an RTO does not eliminate the need for utilities to maintain their own resource adequacy. SPP requires each participant to show they have enough firm capacity to meet peak demand plus a planning reserve margin. Because wind and solar can’t always produce at peak periods, we must continue to maintain and plan for dispatchable or firm resources, energy storage and demand response. Markets supplement Platte River’s resources, but don’t replace them.

SPP coordinates hundreds of generating units across multiple states. If a unit unexpectedly goes offline or demand spikes (i.e. on a hot summer afternoon), the market can call on resources from across the region to meet demand. This shared visibility and coordination can help utilities manage extreme weather events and keep power flowing.

Markets allow renewable energy to be used whenever and wherever it is available. When Platte River has more wind or solar than we need, we can sell it in the market. When renewables are abundant elsewhere, we can buy them at a low cost. This improves efficiency and supports progress toward our noncarbon energy goal by using noncarbon energy generated by other utilities instead of using our dispatchable resources.

Markets typically dispatch the lowest-cost energy first, allowing Platte River to buy energy when it is cheaper than generating it ourselves and to sell energy when it is valuable to the region. While market conditions vary, participating in an RTO generally provides more tools to manage costs and improve long-term affordability.

Additionally, all participants will share in the upgrade costs of the regional transmission system.

No. Platte River continues to make decisions about our generation portfolio, resource planning, rates and operations. Market rules ensure fair access to the transmission grid, but local policy decisions and long‑term planning remain under Platte River’s authority.

These units will be offered into the market and will run when they are the most economic or when needed for capacity and reliability. As more renewables come online in the region, thermal units may operate less often, but they continue to play an important role in maintaining reliability as we transition.

Market participation supports cost stability, reliability and renewable energy integration. While customer bills reflect many factors (fuel costs, weather, resource additions, transmission, etc.), the RTO gives Platte River more tools to manage these variables. The goal is to maintain reliable, affordable and increasingly clean energy for our owner communities.

Accessibility Notice:
Per the Americans with Disabilities Act (ADA), Platte River Power Authority will provide reasonable accommodation to qualified individuals with a disability who need assistance. Please email us at [email protected] or call 970-226-4000. “Walk-in” requests for auxiliary aids and services may be honored to the extent possible but can be unavailable if advance notice is not provided.

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